Putting the Pieces Together on Eurozone QE

It sounds so simple. The European Central Bank creates money, and uses it to buy government bonds. But nothing is ever that easy in the eurozone.

With inflation moribund, the ECB certainly sounds like it is heading toward purchases of government bonds. It is not yet inevitable—and it certainly isn’t clear that sovereign quantitative easing would help the eurozone with its problems. But more important, there are still practical...